Ontario Teachers’ Pension Plan posts 6.7% return in 2025, but misses benchmark on real estate hit

"Despite the uncertain environment, our investment business delivered strong dollars earned and was able to successfully realize some key assets while proactively working to address challenging areas of the portfolio," Jo Taylor, chief executive of the Ontario Teachers' Pension Plan, said.Article content The Ontario Teachers’ Pension Plan posted a 6.7 per cent return in 2025, with strong gains from its public equity, gold, credit and venture growth divisions. However, there were negative returns across private equity and real estate.Sign In or Create an AccountEmail AddressContinueor View more offersArticle contentTeachers’ responded to challenges in those two areas with year-end valuation adjustments to reflect current market conditions, which weighed on performance, Jo Taylor, the pension fund’s chief executive, said.Article contentWe apologize, but this video has failed to load.Try refreshing your browser, ortap here to see other videos from our team.Article contentArticle contentThe fund underperformed against its benchmark portfolio return of 11.7 per cent, and the one-year return was well below the 9.4 per cent posted in 2024.Article contentPosthasteBreaking business news, incisive views, must-reads and market signals. Weekdays by 9 a.m.There was an error, please provide a valid email address.Sign UpBy signing up you consent to receive the above newsletter from Postmedia Network Inc.Thanks for signing up!A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Posthaste will soon be in your inbox.We encountered an issue signing you up. Please try againInterested in more newsletters? Browse here.Article content“Despite the uncertain environment, our investment business delivered strong dollars earned and was able to successfully realize some key assets while proactively working to address challenging areas of the portfolio,” Taylor said.Article contentNet assets grew to $279.4 billion by Dec. 31, 2025, up from $266.3 billion in 2024.Article content“Moving forward, our focus is on maintaining our sound funding position by delivering strong risk‑adjusted returns and continuing to deliver excellent service to our members,” Taylor said. Article contentThe pension plan is fully funded for the thirteenth straight year, with a preliminary funding surplus of $31.2 billion. That equates to a funding ratio of 111 per cent, up from 110 per cent in 2024.Article contentTeachers’ total annualized 10-year return is 6.8 per cent, with a 9.2 per cent return since inception.Article contentIn 2025, the fund’s private equity portfolio posted a negative return of 5.3 per cent compared to a benchmark gain of 18 per cent. Real estate posted a negative return of 3.1 per cent compared to a benchmark gain of 2.2 per cent.Article contentHowever, public equities and venture growth both shot past their double-digit benchmark returns, with venture posting a return of 30.2 per cent.Article content• Email: bshecter@nationalpost.com Article contentTrending Posthaste: If you thought Trump's trade war was bad, watch out for the tariff scams News Here's why bets are rising for interest rate hikes including for Canada Economy Expanded Trans Mountain pipeline almost doubles oil exports from Port of Vancouver Energy Subscriber only. It's been five years since mortgage rates hit all-time lows, and no one is celebrating this anniversary Subscriber only Personal Finance Just like a Dad tax, government taxation can inspire behaviour changes — both good and bad Personal Finance Share this article in your social network Get the latest from Barbara Shecter straight to your inbox Sign Up CommentsYou must be logged in to join the discussion or read more comments.Create an AccountSign in Join the Conversation Postmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information. Posthaste: If you thought Trump's trade war was bad, watch out for the tariff scams News Here's why bets are rising for interest rate hikes including for Canada Economy Expanded Trans Mountain pipeline almost doubles oil exports from Port of Vancouver Energy Subscriber only. It's been five years since mortgage rates hit all-time lows, and no one is celebrating this anniversary Subscriber only Personal Finance Just like a Dad tax, government taxation can inspire behaviour changes — both good and bad Personal Finance